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Washington DC Attorney General sues Marriott over "deceptive resort fees"

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Washington DC Attorney General sues Marriott over "deceptive resort fees"

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Old Jul 13, 2019, 11:07 am
  #106  
 
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Originally Posted by MePlatPremier
How is it that a flat rate local tourist tax (EUR 10 per person/night in VCE or EUR 4.50 person/night in PAR) “tend[s] to impact all rooms equally or at least proportionally” and doesn’t impair the ability for the customer to “see the accurate relative pricing of their choice of rooms” but a flat resort fee (say USD 20 per room/night) doesn’t have the same effect?
Because every hotel guest in the first case pays the same flat tax and in the second case the resort fee does not apply to all hotels. So in Venice every room is treated the same but say in NYC they are not. This is not complicated.
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Old Jul 13, 2019, 11:14 am
  #107  
 
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Why is anyone not affiliated with the hotel industry against including the fees in the listed price?
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Old Jul 13, 2019, 11:54 am
  #108  
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Originally Posted by emma dog
Why is anyone not affiliated with the hotel industry against including the fees in the listed price?
I am detecting various shades of “it can’t be done” or “it isn’t the government’s role to get involved in what consumers see”, both of which are obviously some mix of factually incorrect and in principle.
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Old Jul 13, 2019, 12:17 pm
  #109  
 
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Originally Posted by MePlatPremier
Unless a hotel is situated in a jurisdiction that doesn’t charge local taxes, I have never seen a search result where the indicated hotel rate is the final amount I will be asked to pay at check-out. Isn’t that fraud as well?
I’d like to see taxes included in the rates as is the case for airfares, but one can argue this is less egregious since all properties in a given area are subject to similar government taxes, whereas the “resort fees” are entirely at the discretion of the property and range from zero to more than the room rate. Not having these included in the advertised rate makes comparing them needlessly difficult, which of course is the entire point of the fees.
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Old Jul 13, 2019, 1:33 pm
  #110  
 
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Originally Posted by WillBarrett_68
OK dude. The fact that they are "disclosed" doesn't mean it isn't done in a sneaky, underhanded manner.

Why do you think they do it the way they do, exactly?
Bump for flying 4 fun
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Old Jul 13, 2019, 2:11 pm
  #111  
 
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Originally Posted by ckendall
Because every hotel guest in the first case pays the same flat tax and in the second case the resort fee does not apply to all hotels. So in Venice every room is treated the same but say in NYC they are not. This is not complicated.
Actually, both in Paris and Venice tourism tax for hotels fluctuates according to the season and the hotel’s star rating.
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Old Jul 13, 2019, 3:10 pm
  #112  
 
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Originally Posted by MePlatPremier
Actually, both in Paris and Venice tourism tax for hotels fluctuates according to the season and the hotel’s star rating.
That's not inconsistent with what he's saying. The hotel can't arbitrarily decide which tax rate applies to its rooms. And when it fluctuates, it fluctuates for all properties together.
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Old Jul 14, 2019, 1:40 pm
  #113  
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Originally Posted by Flying for Fun
Hotels don't pay commission on them. Would you rather your $370 Westin in Manhattan show a rate of $420? It won't be $400 because prices will increase as will taxes on higher room rate.
Regarding the photos, which I did not copy because it messes up mobile, you know as well as I don't that the Marriott.com screenshot is *not* the first price quote given. You have to drill in to get to that screenshot. The first search shows a list of hotels with no mention of resort fees in the rates. Nobody's disputing that you can't go find the rates with additional clicks (or that they show up in your email confirmation).​

Seriously? Why is it harder to do? For Marriott it is just a matter of calculating the taxes and adding it to the room rate on the front page rather than listing them at check-out. Booking.com already does it and shows the additional taxes and charges below the rate. In the case of the Westin example the $102.68 additional taxes and charges includes the resort fee which is disclosed before purchase. If booking.com added the fees and charges to the room rate you would have an all-inclusive price. It is actually more difficult with resort fees. Percentage based resort fees can't be determined until a room rate is selected.
*shrug* Like I said before, I'd be happy to see government taxes shown in the original search list, as with airfares. It sounds like you and I actually agree on this point. But that's not really the point of this thread, and I don't believe the motivation for not showing tax is the same as the motivation for hiding resort fees, which is 100% to defraud customers.

I am all for a flag that the property listed in the front page on Marriott charges a resort fee. An optional filter to remove those properties could be implemented too.
Not good enough. Ban this fraud entirely. Neither you nor anyone else has provided any legitimate reason for them to exist, other than as a "gotcha" that you happen to be knowledgeable enough to avoid.

Millions of airfares are changing daily yet when I query a fare the price I see includes all taxes and other fees. It isn't uncommon to have a dozen or more charges included in the final price. It isn't difficult at all.
Great. Let's implement it for hotels. No complaints from me.

If a property is advertising $10 nightly rates for a 5-star hotel you know/should know that the rate is below market. If travel websites were only earning commissions on a $10 room rate they would be dropping them like hot potatoes.
Star rating doesn't matter to me. I don't necessarily know the market, which is why transparency is important. $10 for a highly-rated hotel would be unusual (and probably never seen at Vegas dozen-or-so 5-star hotels, which are mostly hotels-within-hotels). $400 for a trash hotel would be unusual. But both can happen in Vegas. That's irrelevant to fraudulent fees. The relationship between hotels and travel agents is not my problem and doesn't justify fraud.

Vegas is a totally different market where supply and demand can see a room rate swing from $40 to $600 or more. The resort fee included in the taxes and charges total below the room rate is disclosed on booking.com on the front page, how is that deceptive? Do you need someone to add the two together for you?
Yes!! You finally get it!! That's precisely what I'm asking. Add the two together and make sorting and filtering by the total. Problem solved! With that one particular site, it looks like we'd ever get the bonus of having the taxes in there.

One other thing: the "taxes and fees" line item is deceptive. It should be "taxes" - with everything else that is not a tax in the other amount. I think we just established that programmers are amazing and will have an easy time doing this. ^

Originally Posted by MePlatPremier
That is indeed an issue that OP should raise with his/her corporate travel portal, not with Marriott. It appears the travel portal is the one perpetrating the fraud on consumers by hiding the resort fees that Marriott and all other OTAs clearly disclose.
Many travel agents do a poor job of disclosing these fees. (In the example, Booking.com seems less-bad than some.) The best way to kill this scourge is at the source - banning it outright. Very simple consumer protection issue that doesn't in any way restrict a hotel's ability to set its total room rates however it would like.

Originally Posted by emma dog
Why is anyone not affiliated with the hotel industry against including the fees in the listed price?
Yeah, I can't figure that one out. Nobody is telling us how resort fees are a good thing for the consumer. No one can provide a justification for them that isn't rooted in deception.
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Old Jul 14, 2019, 6:35 pm
  #114  
 
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Here's the CEO defending resort fees:

https://onemileatatime.com/marriott-...s-resort-fees/

  • He argues that resort fees are the hotel industry equivalent of baggage fees in the airline industry
  • He says that when resort fees started a bit over a decade ago, of course they were somewhat financially driven, but it was a way to include things like paddle boarding and bikes with the room rates
  • He thinks that resort fees are well disclosed
  • Marriott’s approach is that these fees must include a package of benefits that is a multiple of the cost of the fee, and in many hotels that may now include a food & beverage credit, which is often equal to the fee itself
  • These fees aren’t going away, but Sorenson acknowledges you can only add these in some markets and some hotels, and not in suburban markets where there may be very limited features they can add
1) They're nothing like baggage fees, because baggage fees are optional - don't check bags if you don't want to pay them.
2) Every actual resort I stayed at where I paid a resort fee, activities were still an additional charge. Also, a lot of non-resort hotels in the city are now charging these fees too, and they don't have "paddle boarding and bikes".
3) As a Lifetime Titanium I already get free breakfast at most hotels. Coincidentally, at island resorts where I have to pay a resort fee, I STILL have to pay to upgrade my free Elite breakfast to a proper one.
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Old Jul 14, 2019, 6:46 pm
  #115  
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Thoroughly dishonest.
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Old Jul 14, 2019, 7:17 pm
  #116  
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Also, baggage fees are easily avoided with 1) any basic airline status and/or 2) having a co-brand credit card

Marriott does neither

What a joker
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Old Jul 14, 2019, 7:38 pm
  #117  
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Marriott is in a deepening hole with resort fees. Its CEO needs to stop digging.
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Old Jul 14, 2019, 7:46 pm
  #118  
 
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Glad to see that AG is initiating action on this deceptive way of listing actual prices.

I'd also like to see someone file a class action suit to recover the fees that many of us paid for years for wifi via resort fees though Marriott said we were entitled to free wifi because of our program status. Hard to believe that a CEO could defend those shenanigans or would defend the intended deception about room rates by listing resort fees separately..
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Old Jul 14, 2019, 7:57 pm
  #119  
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Originally Posted by UA-NYC
Also, baggage fees are easily avoided with 1) any basic airline status and/or 2) having a co-brand credit card
0) Not checking bags. Paying baggage fees is purely optional.

Originally Posted by OldSchoolConsultant
in many hotels that may now include a food & beverage credit, which is often equal to the fee itself
After taking into account the 200-500% markup on in-hotel F&B that these types of properties tend to charge? As we all know, that's still no excuse for not including it in the room rate.
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Old Jul 15, 2019, 7:26 am
  #120  
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This is good. Marriott's CEO needs to keep digging. The more times he's interviewed about this the better. The more the media has an opportunity to report on the hotel industry's justification for resort fees, the better. I love it how he brings up baggage fees, a thing not analogous to resort fees at all, but also a thing that nobody likes. He's basically saying "the airline industry is terrible, so we're going to be terrible too."

Every one of his points so far is either (a) a perception shared by almost no guests at all or (b) an outright factual lie. When he says "they aren't going away", he's providing extremely direct rationale for why the hotel industry cannot be trusted to behave ethically and that regulatory action is needed.

So keep on digging. Only increases the audience that is paying attention and the likelihood that other AG's begin to hear from their own constituents. ^
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